DATA REPORT

QuarterlyS E C O N D Q U A R T E R 2 0 1 6

W W W . C P W R . C O M

Safety Management and Safety Culture among Small Construction Firms

CPWR Data Center: Xuanwen Wang, PhD, Xiuwen Sue Dong, DrPH*, and Linda M. Goldenhar, PhD

KEY FINDINGS

• Small construction firms

lag behind larger ones in

most of the safety

management and safety

culture measures.

In recent years, high performing construction industry contractors, who are

striving for zero injuries and continuous improvement in their safety and health

programs, have recognized that a positive safety culture is tied to all other as-

pects of their businesses, including productivity and competitiveness. To track

changes in safety management and safety culture in the construction industry,

CPWR has collaborated with Dodge Data & Analytics (formerly known as Mc-

Graw Hill Construction) to conduct an online Construction Safety Management

Survey (CSMS) using Dodge’s member contractor panel (>3,000). The fi rst on-

line survey was conducted in 2012; the second in 2015. Moving forward, the

CSMS will be conducted biennially.

The Dodge SmartMarket Report “Building a Safety Culture: Improving Safe-

ty and Health in the Construction Industry” released in April 2016, details the

fi ndings from the CSMS (full report is available at http://www.cpwr.com). The

results showed broad industry implementation of interventions to promote a

strong safety culture. Jobsite worker involvement ranked fi rst in the percentage

of contractors who consider it an essential part of a world class safety program in

2015, up from ranking sixth in 2012. Moreover, a higher number of construction

companies in the 2015 survey reported that they reduced work-related injuries

and increased their business competitiveness by investing in safety.

Despite the encouraging results, the data indicates that small construction fi rms

lag behind larger ones in most of the safety management and safety culture

measures. To examine this issue in more detail, we analyzed the CSMS data

comparing the differences in safety management and safety culture between

small and large fi rms in this Quarterly Data Report.

• Compared to larger firms,

firms with fewer than 10

employees are less likely

to practice and adopt

safety protections,

personal protective

equipment (PPE), and

Prevention through Design

(PtD).

• About one third of firms with

fewer than 10 employees

only provided training when

employees were hired or

when it was required.

• Small firms are less likely

to involve workers in, or

have management

commitment to, safety and

health than firms with 500

or more employees.

• Small firms were less

likely to require OSHA

10-hour and 30-hour

training than larger ones.

* Correspondence to: Xiuwen Sue Dong, SDong@cpwr.com.

Image: Microsoft PowerPoint

DATA REPORT 2

Second Quarter 2016

SECTION 1: Characteristics of Construction Firms

A total of 514 construction fi rms completed the online survey: 262 in the 2012 survey and 252 in 2015.1 To obtain

reliable estimates for small fi rms, data from the two surveys were combined if they shared common measures. In

addition, some detailed indicators were aggregated into major categories to enhance data comparisons. The patterns

of fi rm size in the two years were similar. Less than half of the respondent fi rms had fewer than 50 employees,

while about one in fi ve had 500 or more employees (Chart 1). The type of construction subsectors was associated

with fi rm size. When combining the two years of data together, over half of the fi rms with 500 or more employees

fell within the general contractor/general construction category (58.7%; Chart 2), while fi rms with fewer than 10

employees were more likely to be specialty trade construction subcontractors (51.6%).

1One fi rm in 2012 and two fi rms in 2015 were excluded due to lack of fi rm size information.

Source: Dodge Data & Analytics, 2012 and 2015 Construction Safety Management Survey.

Calculations by the authors.

2. Type of companies by fi rm size, average of 2012 and 2015

1. Size of construction fi rms, 2012 versus 2015

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Safety Management and Safety Culture...

DATA REPORT 3

Section 1: Characteristics of Construction Firms Second Quarter 2016

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Safety Management and Safety Culture...

Types of building projects differed by fi rm size. Firms with 1-9 employees were often involved with low-

rise commercial and low-rise residential projects (74.2% and 51.6%, respectively; Chart 3). Work on

high-rise residential/commercial projects and industrial buildings were more commonly completed by fi rms

with 500 or more employees.

* Highway, street , and bridge; water and sewer; oil and gas pipeline; etc.

**Airports, ports, train stations, etc.

Source: Dodge Data & Analytics, 2012 and 2015 Construction Safety Management Survey.

Calculations by the authors.

3. Type of projects worked on in the last three years, small vs. large fi rms,

average of 2012 and 2015

Safety Management and Safety Culture... DATA REPORT 4

Second Quarter 2016

SECTION 2: Practices Used on Projects to Promote Safety

The survey had more categories of safety practices in 2015 than in 2012. Over 72% of the respondents re-

ported that they adopted practices involving safety equipment and protection in 2015 (Chart 4), the highest

among all safety practices, followed by personal protective equipment (PPE; 70.2%). Among all three major

practices (organizational safety practices, prevention through design, and safety policies) that were surveyed

in both years, the adoption rates substantially increased from 2012 to 2015.

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4. Type of safety practices among construction fi rms, 2012 versus 2015

Source: Dodge Data & Analytics, 2012 and 2015 Construction Safety Management Survey.

Calculations by the authors.

Safety Management and Safety Culture... DATA REPORT 5

Section 2: Practices Used on Projects to Promote Safety

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Inspecting equipment for functionality prior to use and installing safety protections such as guardrails,

safety nets, and alarms are important safety practices. The proportion of construction fi rms adopting these

safety protections increased as fi rm size increased. Only 38% of fi rms with fewer than 10 employees

adopted these safety protections in the workplace (Chart 5), while nearly 90% of fi rms with 500 or more

employees had such safety protections.

Source: Dodge Data & Analytics, 2015 Construction Safety Management Survey. Calculations by the authors.

5. Safety practices involving equipment and protection by fi rm size, 2015

Second Quarter 2016

Safety Management and Safety Culture... DATA REPORT 6

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Personal protective equipment (PPE) use entails providing functional PPE, enforcing its use, and inspecting

it for functionality prior to use. The use of PPE was reported in 55.2% of fi rms with fewer than 10

employees, and the percentage increased as the size of the fi rm became larger (Chart 6). About nine out of

ten (88.7%) fi rms with 500 or more employees adopted safety practices involving PPE.

Source: Dodge Data & Analytics, 2015 Construction Safety Management Survey. Calculations by the authors.

6. Personal Protective Equipment (PPE) use by fi rm size, 2015

Second Quarter 2016Section 2: Practices Used on Projects to Promote Safety

Safety Management and Safety Culture... DATA REPORT 7

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7. Organizational safety practices, small versus large fi rms, average of 2012 and 2015

Source: Dodge Data & Analytics, 2012 and 2015 Construction Safety Management Survey.

Calculations by the authors.

Organizational practices to promote safety include the fi ve measures shown in Chart 7. Signifi cant

differences were found between the smallest and largest fi rms with regard to the adoption of each of the fi ve

practices. Nearly all fi rms with 500 or more employees had adopted each of the organizational safety

practices (Chart 7). More than half of the small fi rms included jobsite workers in safety practices and

maintained an open door policy. However, only 27% said they conducted prompt incident investigation and

job hazard/safety analysis. Using the average of the 2012 and 2015 data, about 82% of the largest fi rms

applied all fi ve organizational safety practices (Chart 8), more than eight times the rate among fi rms with

fewer than 10 employees (9.7%).

8. Percentage of fi rms with fi ve organizational safety practices by fi rm size,

average of 2012 and 2015

Second Quarter 2016Section 2: Practices Used on Projects to Promote Safety

Safety Management and Safety Culture... DATA REPORT 8

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Prevention through Design (PtD) integrates hazard mitigation into the engineering and design process,

which in turn, leads to making projects safer during the building process. Only 13% of fi rms with less than

10 employees applied PtD to improve worker safety. Among fi rms with 500 or more employees, PtD was

used to a much greater degree (59.6%; Chart 9).

Source: Dodge Data & Analytics, 2012 and 2015 Construction Safety Management Survey.

Calculations by the authors.

9. Prevention through Design (PtD) to promote safety by fi rm size, average of 2012 and 2015

Second Quarter 2016Section 2: Practices Used on Projects to Promote Safety

Safety Management and Safety Culture... DATA REPORT 9

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10. Safety policies, small versus large fi rms, average of 2012 and 2015

Source: Dodge Data & Analytics, 2012 and 2015 Construction Safety Management Survey.

Calculations by the authors.

The majority of respondents from fi rms with 500 or more employees said they engaged in each of the four

comprehensive safety policies listed in Chart 10. In contrast, small fi rms were much less likely to have these

safety policies in place. While 61% of fi rms with 500 or more employees offered safety incentives, less than

10% of small fi rms did so (Chart 10). When 2012 and 2015 data were combined, about half of fi rms with

500 or more employees had four safety policies in the workplace (Chart 11), more than 10 times the rate

among the smallest fi rms (4.8%).

11. Percentage of fi rms with four safety policies by fi rm size, average of 2012 and 2015

Second Quarter 2016Section 2: Practices Used on Projects to Promote Safety

Safety Management and Safety Culture... DATA REPORT 10

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12. Management commitment to safety and health, small versus large fi rms, 2015

SECTION 3: Safety Culture Indicators

In the 2015 survey, safety culture was measured by 33 indicators. Seven indicators simply identifi ed whether

the company used the safety practice or not (0=No; 1=Yes), while the other 26 indicators were measured

by the degree of adoption (from 0=Not practiced to 3=High: practiced to more than 70% of the projects).

To increase the comparability, the 26 indicators were grouped into seven major categories: 1) management

commitment to safety and health, 2) safety and health fundamental to company values, 3) safety and health

accountability, 4) supervisory leadership, 5) jobsite worker involvement, 6) safety and health communica-

tion, and 7) owner/client involvement in safety and health (See Charts 12-18).

Management commitment to safety was measured by the fi ve indicators listed in Chart 12. The largest fi rms

were more likely than the smallest ones to report a high level of adoption of all fi ve practices. More than

half (51%) of fi rms with at least 500 employees used safety and health data for improvement on over 70%

of their projects (Chart 12), more than seven times the adoption rate among fi rms with fewer than 10 em-

ployees (6.9%). The scope of management commitment to safety and health is consistent with the number

of safety practices shown in the previous section, indicating that employers play an important role in overall

safety culture.

Source: Dodge Data & Analytics, 2015 Construction Safety Management Survey. Calculations by the authors.

Second Quarter 2016

Safety Management and Safety Culture... DATA REPORT 11

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Source: Dodge Data & Analytics, 2015 Construction Safety Management Survey.

Calculations by the authors.

Safety and health as a fundamental company value was defi ned as considering safety and health while

planning and bidding jobs and encouraging safety and health mentoring. Nearly two out of three (64%)

fi rms with at least 500 employees considered safety and health into planning and bidding jobs on more than

70% of their projects (Chart 13), while only 41% of fi rms with fewer than 10 employees did so.

Section 3: Safety Culture Indicators

13. Safety and health are fundamental company values, small versus large fi rms, 2015

Second Quarter 2016

Safety Management and Safety Culture... DATA REPORT 12

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Three items were used to measure safety and health accountability as depicted in Chart 14. Although there

was not much difference by fi rm size for “holding everyone accountable for safety,” there were notable

differences for “investigating near-misses” and “using external safety and health audits.” Three out of four

(75.5%) fi rms with at least 500 employees reported that near-misses were taken seriously and investigated

for more than 70% of their projects (Chart 14), which was more than double the adoption rate among fi rms

with fewer than 10 employees (34.5%).

14. Safety and health accountability, small versus large fi rms, 2015

Second Quarter 2016Section 3: Safety Culture Indicators

Source: Dodge Data & Analytics, 2015 Construction Safety Management Survey.

Calculations by the authors.

Safety Management and Safety Culture... DATA REPORT 13

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Safety leadership was measured with three items (Chart 15). About six out of ten (60.4%) fi rms with 500 or

more employees monitored subcontractors on safety practices at a high level (more than 70% of their

projects), while only 38% of fi rms with fewer than 10 employees did so. No signifi cant differences were

found for the other two measures by fi rm size.

15. Supervisory leadership, small versus large fi rms, 2015

Second Quarter 2016Section 3: Safety Culture Indicators

Source: Dodge Data & Analytics, 2015 Construction Safety Management Survey.

Calculations by the authors.

Safety Management and Safety Culture... DATA REPORT 14

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Worker involvement with workplace safety and health was determined by the six items shown in Chart 16.

The data show that the largest fi rms incorporate all the practices to a greater degree than small fi rms except

for “workers are asked for input on site safety and health conditions.” The most common practice for both

large and small fi rms was that workers were encouraged to report unsafe conditions to management. In

addition, about 81% of the largest fi rms said that workers were given stop-work authority for more than 70%

of their projects (Chart 16), nearly double the proportion among fi rms with less than 10 employees (44.8%).

16. Jobsite worker involvement, small versus large fi rms, 2015

Second Quarter 2016Section 3: Safety Culture Indicators

Source: Dodge Data & Analytics, 2015 Construction Safety Management Survey.

Calculations by the authors.

Safety Management and Safety Culture... DATA REPORT 15

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Communication regarding safety and health is essential for promoting workplace safety. Firms with fewer

than 10 employees were less likely to coordinate safety and health policies with all subcontractors than fi rms

with 500 or more employees (34.5% versus 66.0%, respectively). However, managers from small fi rms were

more likely to engage with workers one-on-one than large fi rms (58.6% versus 37.7%, respectively).

17. Safety and health communication, small versus large fi rms, 2015

Second Quarter 2016Section 3: Safety Culture Indicators

Source: Dodge Data & Analytics, 2015 Construction Safety Management Survey.

Calculations by the authors.

Safety Management and Safety Culture... DATA REPORT 16

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Owners and clients have the ability to infl uence workplace safety and health in a number of areas (Chart 18).

Nearly 30% of owners from fi rms with 500 or more employees required safety and health precertifi cation of

bidders for over 70% of their projects, more than four times the adoption rate among fi rms with less than 10

employees (6.9%). About 43% of the largest fi rms supported safety and health audits for more than 70% of

their projects, while only 20.7% of fi rms with fewer than 10 employees did so.

18. Owner/client involvement in safety and health, small versus large fi rms, 2015

Second Quarter 2016Section 3: Safety Culture Indicators

Source: Dodge Data & Analytics, 2015 Construction Safety Management Survey.

Calculations by the authors.

Safety Management and Safety Culture... DATA REPORT 17

SECTION 4: Safety and Health Training

In general, safety and health training increased with fi rm size. Firms with 1-49 employees were less likely

to provide each of the three types of training than fi rms with 50 or more employees (Chart 19). In terms of

whether “all employees receive orientation training when starting work on a new site,” almost all (96.2%)

fi rms with at least 500 employees required such training on more than 70% of their projects, nearly double

the percentage among fi rms with fewer than 10 employees (55.2%).

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19. General safety and health training by fi rm size, 2015

Second Quarter 2016

Source: Dodge Data & Analytics, 2015 Construction Safety Management Survey.

Calculations by the authors.

Safety Management and Safety Culture... DATA REPORT 18

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20. OSHA training by fi rm size, average of 2012 and 2015

Compared to large fi rms, fi rms with fewer than 10 employees were less likely to require OSHA 10-hour and

30-hour training. Only 53% of these small fi rms required OSHA 10-hour training for all jobsite workers, the

lowest among the respondent fi rms (Chart 20). About 57% of these small fi rms required the OSHA 30-hour

training for supervisors, while almost all supervisors (93.3%) were required to do so in fi rms with 500 or

more employees.

Section 4: Safety and Health Training Second Quarter 2016

Source: Dodge Data & Analytics, 2012 and 2015 Construction Safety Management Survey.

Calculations by the authors.

Safety Management and Safety Culture... DATA REPORT 19

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21. Frequency of general safety and health training, small versus large fi rms,

average of 2012 and 2015

Small fi rms also provided training to their employees less frequently. For the 2012 and 2015 average, more

than one third (35.5%) of fi rms with fewer than 10 employees provided training when employees were hired

or when it was required (Chart 21). In contrast, more than half (52%) of the largest fi rms provided training

quarterly, nearly three times higher than the proportion among the smallest fi rms (19%).

Section 4: Safety and Health Training Second Quarter 2016

Source: Dodge Data & Analytics, 2012 and 2015 Construction Safety Management Survey.

Calculations by the authors.

Safety Management and Safety Culture... DATA REPORT 20

Conclusion

The fi ndings suggest that overall, fi rm size is signifi cantly correlated with the degree to which safety manage-

ment programs are implemented and the strength of the safety culture in the construction industry. Compared

to large fi rms, fi rms with fewer than 10 employees are less likely to adopt safety protections, personal protec-

tive equipment (PPE), and Prevention through Design (PtD) to promote safety and health; and less frequently

to provide safety and health training to their employees. Small fi rms are also less likely to involve workers in,

or demonstrate true management commitment to, safety and health than large fi rms. Thus, it is critical to con-

tinue reaching out to small fi rms and providing them with the information and resources they need to improve

worker safety and health as well as safety culture.

References

• Dodge & Data Analytics. 2013. Safety Management in the Construction Industry.

http://www.cpwr.com/sites/default/fi les/publications/SafetyManagementinConstructionSMR-2013_0.pdf

• Dodge & Data Analytics. 2016. Building a Safety Culture: Improving Safety and Health in the

Construction Industry. http://www.cpwr.com/sites/default/fi les/research/Building%20a%20Safety%20

Culture%20SmartMarket%20Report%202016%20ff.pdf

Data Sources

• Dodge & Data Analytics, 2012 and 2015 Construction Safety Management Survey (CSMS).

www.cpwr.com

Second Quarter 2016

Safety Management and Safety Culture... DATA REPORT 21

© 2016, CPWR – The Center for Construction Research and Training. All rights reserved.

CPWR is the research arm of North America’s Building Trades Unions, and it is uniquely qualifi ed to

serve workers, contractors, and the scientifi c community through its program of applied research. This

Quarterly Data Report was produced using funds provided by Cooperative Agreement U60-OH009762

from The National Institute for Occupational Safety and Health (NIOSH). The contents are solely the

responsibility of the authors and do not necessarily represent the offi cial views of NIOSH.

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Hand Safety http://choosehandsafety.org/

Work Safely with Silica http://www.silica-safe.org/

About the CPWR Data Center

The CPWR Data Center is part of CPWR – The Center for Construction Research and Training. CPWR is a

501(c)(3) nonprofi t research and training institution created by North America’s Building Trades Unions, and

serves as its research arm. CPWR has focused on construction safety and health research since 1990. The

Quarterly Data Reports – a series of publications analyzing construction-related data, is part of our ongoing

surveillance project funded by the National Institute for Occupational Safety and Health (NIOSH).

Second Quarter 2016